Last night I dug up and dusted off the first chapter of Contravention of Thieves, (COT2), and revised it into Story 1: The Nightbringer. The revisions entailed some heavy edits to the first section, which was written shortly after the original COT was finished, a new final section, and the removal all sections written from the point of view of other characters, dealing with other plots. The goal was to create a short story told from the perspective of a single character, with a clear beginning, middle, and conclusion.
This sets the tone for what COT2 will be. Rather than a 24 chapter 900 page epic, it will be a series of short stories that eventually flesh out a bigger picture. Doing it this way allows me to focus on each idea as a separate unit, developing each plot independently of the greater whole. Though the scope of COT2 will be much more vast than COT (dealing with dozens of principals over the course of several years) the methods used to convey it make the project much easier to tackle.
Some additional stories can still be excavated from the discarded COT2, but the majority of it was made irrelevant by COT-R.
Of course, COT and COT2 are still on the backburner. I just did this as a break from the job hunt, so don't expect Story 2 to show up any time soon. :)